Idaho Property Insurance Practice Test

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• If an insured owns several buildings insured by separate policies, what type of coverage does this indicate?
• A commercial property special form covers property in transit up to what amount?
• Which coverage form provides insurance for all incoming and outgoing shipments?
• Which of the following risks is eligible for coverage under a businessowners policy?
• Under a homeowners policy, how are medical payments for others defined?
• In the context of insurance, what does the principle of indemnification refer to?
• Which type of insurance specifically excludes coverage for acts of war?
• What condition must be met to purchase marine insurance?
• What kind of dwelling coverage typically excludes personal property not used for maintaining the home?
• Which policy form is designed to cover residences occupied by the owner?
• How does the liability coverage in a homeowners policy typically apply to personal injury?
• What is the minimum age for individuals to whom agents may grant power of attorney in Idaho?
• What is the typical extent of the examination conducted by the Director on alien insurers?
• To be eligible for coverage under the National Flood Insurance Program, an insured must live in which of the following communities?
• In home insurance, what is typically used to determine the policy limits?
• First aid costs for others injured on the insured's premises are:
• Which of the following is NOT a class of inland marine risks?
• Which statement is NOT true regarding fair rental value coverage in a dwelling policy?
• Under the dwelling policy form, what is the maximum time limit during which multiple volcanic activities would be considered part of one occurrence?
• Which of the following factors does NOT affect the premium calculation for property insurance?
• For how many days will an antique chair be covered at a new location after being moved due to a house fire under the Standard Fire Policy?
• A policyholder has an equipment breakdown policy with a $200,000 limit. After a boiler explosion causing various damages, how much will the insured collect under the policy?
• Which of the following is often excluded from standard homeowners insurance?
• A type of policy that provides a specific amount of replacement cost after property destruction is called a(n):
• Which inland marine coverage condition says that an insurer will settle with the actual owners of property involved in a loss?
• What term describes the entity that an agent represents in contractual agreements with third parties?
• How are first aid costs for injuries on the insured's premises treated in the context of liability coverage?
• Which type of property is covered under homeowners policies?
• All of the following are special personal property limits under a homeowners policy EXCEPT:
• What does the term "peril" refer to in property insurance?
• In equipment breakdown coverage, when are all accidents considered a single accident?
• What type of coverage does the Business Income Coverage Form provide?
• Which of the following is not one of the core coverages of a DP - Property Policy?
• Farm fences (except field and pasture fences) are covered by which farm coverage form?
• Which statement is NOT true about mobile agricultural machinery and equipment coverage?
• What endorsement provides full coverage for a watch valued at $10,000 on a homeowner’s policy?
• Which of the following claims would be included under the dwelling policy?
• What type of insurance is characterized by mutual agreements among subscribers?
• All of the following are classes of inland marine risks EXCEPT?
• Which of the following describes the term "actual cash value" in property insurance?
• What is the typical limit for coverage on money under a broad theft coverage endorsement?
• Which type of insurance primarily provides coverage for liability arising from property damage or bodily injury?
• What type of loss does business interruption insurance cover?
• Which of the following is NOT classified as personal property for insurance purposes?
• In homeowner's insurance, what does liability coverage provide?
• If a consumer requests additional information concerning an investigative consumer report, how long does the insurer or reporting agency have to comply?
• Which coverage is generally included in a Business Owners Policy (BOP)?
• Which HO Form is classified as a Comprehensive Homeowners policy?
• Which of the following is NOT true about earthquake coverage?
• Which type of risk is defined as a situation where a person can either lose or have no change?
• If a civil authority prohibits the use of a dwelling due to damage from a covered peril, how long will additional living expenses coverage apply?
• Which of the following losses would be covered by an unendorsed homeowners policy?
• What is the maximum amount covered for a firearm collection stolen under a commercial property special form?
• When a homeowners policy provides for coverage only after the deductible is met, this is termed:
• The Director issues an order to an insurer and immediately receives a request for the charges to be reviewed in court. Within what number of days must the hearing be held?
• Which dwelling policy form is specifically designed for tenants?
• Which of the following describes the transfer of a legal right or interest in an insurance policy?
• If an insurer intends to nonrenew a commercial policy, what is the minimum advance written notice required?
• What type of policy is specifically used for the coverage of equipment breakdown?
• The ABC Corporation has $100,000 of coverage on its building through insurance Company A, and $50,000 of identical coverage on the same building through insurance Company B. Assuming coinsurance is not an issue, when a $24,000 loss occurs and the pro rata method is used, how much will each insurer pay?
• In a dwelling policy, which statement is true regarding personal liability coverage?
• An insurance company has published a brochure that inaccurately portrays the advantages of a particular insurance policy. What is this an example of?
• Which coverage typically protects against liability for bodily injury and property damage to others?
• What is the name of the provision that limits the insurer's liability to a portion of the loss based on the insurance covering the property?
• Which type of authority is NOT defined in an agent's contract but is crucial for conducting business?
• In insurance terms, what are components?
• What are the coverages included in a Homeowners (HO) Policy?
• What property value is typically considered for replacement cost coverage?
• Which type of property insurance is designed for rental properties?
• Which of the following actions may NOT result in an agent's imprisonment?
• According to the Terrorism Risk Insurance Act of 2002, what is true regarding reimbursement for insured losses?
• What was the primary purpose of the Gramm-Leach-Bliley Act?
• Which of the following claims does NOT fall under the scope of liability coverage of Section II of a homeowners policy?
• What insurance principle is violated if an insurer neglects to pay a legitimate claim?
• An insured has a homeowners policy and is assessed for the rebuilding cost of a community house. How much will her policy pay?
• If an insured has four identical policies covering her $100,000 building, what would each insurer pay in the event of a total loss?
• Which of the following is NOT true regarding a Certificate of Authority?
• In insurance property coverage, actual cash value is calculated based on what factors?
• Which of the following is NOT excluded in the equipment breakdown basic policy?
• Which of the following is covered by a homeowners policy?
• When the Director requests a hearing, how many days in advance must written notice be submitted?
• All of the following people would be considered insureds under the liability section of a homeowners policy EXCEPT:
• What happens to coverage if a farm building is vacant for 120 consecutive days?
• Why is the New York Standard Fire Policy classified as "Standard"?
• What does a homeowners policy primarily cover?
• Idaho regulations require which part of the New York Standard Fire Policy to be modified to conform to Idaho law?
• Which of the following would typically be found in a policy's insuring agreement?
• Which situation does the personal injury liability endorsement to an HO policy NOT apply to?
• What does the term "ACV" stand for in insurance policies?
• What type of insurance policy typically includes coverage for personal property damage?
• If there is a criminal prosecution taken against a producer in another jurisdiction, when must the producer report that to the Director?
• What is the purpose of a stated value contract in insurance?
• In homeowners insurance, personal property generally includes what?
• What is the maximum number of roomers or boarders for properties insured under the dwelling policy?
• How many days does an insurer have to pay a valid motor vehicle policy claim after receiving an itemized bill?
• Which of the following is true regarding the definition of insurance?
• Which situation is NOT covered by a watercraft endorsement under a homeowners policy?
• What type of coverage does the HO-3 homeowners policy provide for personal property?
• Which of the following is NOT an other coverage included in both the broad and special form dwelling policy?
• Which of the following would not be covered under a Homeowners Liability Policy?
• What is the standard length of time required for an insured to report a loss to the insurer?
• A BOP (businessowners policy) is most similar to?
• Who typically is responsible for paying premiums on property insurance?
• If an insured adds a scheduled personal property endorsement to her homeowners policy for valuable jewelry, what will be the impact?
• Within the first 60 days of coverage under a dwelling policy, how much notice is required for the cancellation of a policy?
• Which of the following additional perils is covered under both the basic form and broad form dwelling policies?
• Representations are written or oral statements made by the applicant that are:
• What is the primary purpose of property insurance?
• When other insurance is written on the same basis as a commercial property policy, the obligation of the insurer is to cover:
• Which factor does NOT affect the cost of property insurance premiums?
• What type of insurance typically covers personal liability for injury or damage caused by the insured?
• What is the exception in the limitations specified by the broad theft coverage endorsement?
• What practice is involved when one twin is charged a higher life insurance rate due to a better financial position than the other?
• Which of the following best describes a blanket policy?
• What is the purpose of Coverage C under homeowners policy?
• Which of the following is NOT a characteristic of a dwelling policy?
• What type of coverage does the HO-3 homeowners policy provide for dwelling and personal property?
• What is the purpose of Coverage A in a homeowners policy?
• Which HO Form is specifically designed for renters?
• Which inland marine coverage condition states that payment of any claim will not reduce the limit of insurance, except in case of a total loss on a scheduled item?
• The insured purchased a $200,000 extra expense policy. If the percentages applying to the limit of insurance are 40%, 80%, and 100%, what would be the maximum payable for a 47-day loss?
• What does the term 'deductible' refer to in property insurance?
• What type of coverage is typically provided for minor property damage in homeowners insurance?
• When an insured makes truthful statements on the application for insurance and pays the required premium, it is known as which of the following?
• Which of the following is NOT covered under Coverage E - Scheduled Farm Personal Property?
• Under a dwelling policy, which of the following is NOT a factor in determining a loss?
• What is the purpose of a deductible in an insurance policy?
• All of the following are examples of risk retention EXCEPT:
• How much is the premium for the dwelling under construction endorsement under the dwelling policy?
• Because an insured owns a lot of expensive jewelry, her agent has advised her to purchase a scheduled personal property endorsement. What is true if this endorsement is added to her homeowners policy?
• Which liability coverage must be added by endorsement to a homeowners policy to apply?
• If an insurer discovers a fraudulent claim, how long do they have to notify the Director to avoid penalties?
• Which type of property would typically be covered under Coverage C?
• What occurs if a loss is reported after the first report due date under a value reporting coverage form?
• Under the Fair Credit Reporting Act, individuals rejected for insurance must be informed of:
• What does 'underinsurance' refer to in property insurance?
• What insurance policy provision defines how the policy will respond if there is more than one insurance policy written on the same risk?
• What type of perils are covered under a Special Dwelling Policy indicated by T-OE-RID-OW?
• How is actual cash value defined in property insurance?
• Which of the following losses would NOT be covered by a homeowners policy?
• In commercial property insurance, what does the term 'coinsurance' refer to?
• Which items are excluded from the Business Personal Property coverage form?
• What is a common limitation of the loss of use coverage provided by an insurance policy?
• The amount an insurer pays under Coverage D (Loss of Use) depends on which factor?
• Which of the following claims would be covered under a dwelling policy?
• What distinguishes investigative consumer reports from standard consumer reports?
• Which of the following covers personal property while it's off the premises?
• What is the primary purpose of additional living expense coverage on homeowners policies?
• Under homeowners insurance, what is typically covered as personal property?
• Which type of policy would typically cover damage caused by fire, storms, and theft?
• In the event of a loss covered by the policy, if the insurer requests a signed sworn proof of loss, the named insured is required to submit it within:
• Persons covered under an insurance policy, whether named or not, are known as the?
• What provision defines how a policy reacts when multiple insurance policies cover the same risk?
• What type of endorsement might be added to a homeowner’s policy to cover specific high-value items?
• What is the primary benefit of having liability coverage in a homeowners policy?
• Which of the following is NOT a common condition found in an insurance policy?
• Which of the following could be covered by an HO policy?
• What does a vacant property typically imply concerning insurance coverage?
• All of the following are considered parts of the policy structure EXCEPT:
• Even though the Standard Fire Policy is a named peril contract, under which of the following circumstances would the policy provide "all risk of loss" coverage on insured property?
• Which of the following would NOT be covered by medical payments to others in Section II of your Homeowners policy?
• What action may a person take if they are rejected for insurance based on a credit report?
• Under the provisions of the business income coverage form, which statement is false?
• What is the maximum duration typically covered for business income in most policies?
• In a BOP, what percentage of gasoline sales should comprise the income of a convenience store?
• What is the primary purpose of a loss control program in property insurance?
• Which rating method is based on historical aggregate losses without including provisions for profit?
• In the context of dwelling insurance, what term describes funds available after a claim for improving the property?
• What is the primary use of the premium for an equipment breakdown policy?
• Which coverage does NOT apply to personal liability in a standard homeowners policy?
• Under what condition can broad theft coverage be added to a dwelling policy?
• Which coverage form covers farm fences, excluding field and pasture fences?
• What type of insurance would typically cover losses due to fire damage to a residence?
• What is the maximum penalty for habitual willful noncompliance with the Fair Credit Reporting Act?
• If an insured has a personal property replacement cost endorsement and items are stolen, what will they receive on the claim?
• The conditions of the Standard Fire Policy addressing the rules, duties, and provisions of the insured and the insurer are found in?
• What term refers to the mutual reliance between the insurer and the insured in an insurance contract?
• Which of the following is the best example of a loss covered under comprehensive property insurance?
• Bob's home is insured for $100,000 under a dwelling policy. After suffering $20,000 damage from a fire, it was struck by lightning, completely destroying the structure. Bob's policy will pay:
• What is the sublimit for hazardous substance cleanup in equipment breakdown coverage?
• Unlike homeowners insurance, mobile home policies typically carry what percentage of Coverage A?
• What is typically excluded from coverage under a standard property insurance policy?
• Which of the following is an agreement between an insured and an insurer, where the insurer agrees to indemnify the insured for specific losses in exchange for a premium?
• What type of policy is a Business Owners Policy (BOP)?
• What is the purpose of an exclusion in an insurance policy?
• Which document outlines the terms of a property insurance policy?
• After receiving proof of loss, how long does the insurer have to make payment under a dwelling policy?
• What does the Fair Rental Value coverage provide in a property policy?
• What type of insurance coverage typically protects personal property against theft?
• What is the purpose of an insurance policy's "Declarations Page"?
• Under the dwelling policy, how is Coverage C - Personal Property defined?
• Under what condition would an insurer expect to pay for business income losses?
• Under the provisions of the business income coverage form, all of the following are true EXCEPT?
• Which of the following losses would typically NOT be covered by a homeowners policy?
• If an insured moves their mobile home, what is the policy's stance on damages?
• An insured relocated to another state for work. However, she still owns and insures a house in this state, but has had no one living in it for 3 months. She is also storing some furniture and clothes in the house. From an insurance standpoint, the insured's house is considered:
• What method of valuation is used to insure a house valued at $80,000 despite rebuilding costs being $150,000?
• All of the following lines of authority are considered limited lines EXCEPT:
• What type of insurance is used to cover goods for a specific trip?
• What type of policy is specifically used to insure properties for business purposes?
• Which of the following is a statement that is guaranteed to be true, and if untrue, may breach an insurance contract?
• Which of the following liability coverages must be added by endorsement to a homeowners policy in order to apply?
• Which of the following is commonly covered by homeowners insurance?
• How much will the Loss Assessment additional coverage of a homeowner's liability policy pay when assessed $2,000?
• The part of a property policy that shows the amount of insurance, premium, and policy term is known as:
• In the context of property insurance, what does the term "endorsement" refer to?
• Which document is often required to finalize an insurance policy?
• What type of policy is a businessowners policy typically considered?
• What information is contained in the commercial property declarations page?
• In the scenario of a car accident causing injury, what type of limit of liability does the insured possess if the coverage is $500,000?
• What do policy conditions define in an insurance policy?
• What type of property is NOT insured under Coverage A of a farm policy?
• How much is covered for debris removal under the HO property additional coverages?
• How much notice to the insured is required when nonrenewing an auto policy?
• Which coverage category is often limited to a specific amount in homeowners policies?
• Which of the following is NOT a goal of risk retention?
• Which branch or branches of government regulate insurance?
• Which of the following would be considered causes for flood conditions covered by the National Flood Insurance Program?
• What is the coverage limit for property damage liability under a standard homeowners policy?
• Which type of policy typically includes coverage for personal liability?
• Which of the following is NOT covered under accounts receivable coverage form?
• If an insured under a Mobile Homeowners Policy moves the mobile home to protect it, what is the maximum amount payable?
• What do the Policy Conditions define in an insurance contract?
• For how long does removal coverage under a standard fire policy remain in effect?
• Which of the following is NOT a risk subject to inland marine insurance?
• Which of the following terms refers to other insurance written on the same risk, but not on the same coverage basis?
• Vandalism and malicious mischief would be covered if the insured's premises have been vacant for no more than how many days?
• How does a homeowners insurance policy respond to a covered loss?
• Which of the following is NOT considered a limited line of authority?
• A farmer is remodeling his farmhouse. Which of the following provides coverage for his remodeling materials?
• Which of the following additional perils is covered under both the basic form and broad form dwelling policies?
• What is the limit for loss assessment coverage included under a homeowners policy liability coverage section?
• Which of the following examples of losses is also covered under an HO-2 homeowners policy?
• Which endorsement can increase the liability protection in a homeowner's policy?
• On a participating insurance policy issued by a mutual insurance company, dividends paid to policyholders are?
• Under a businessowners policy, what type of loss is typically excluded from coverage?
• If a specific coverage part is listed on the commercial package policy declarations page, but no premium is shown, what does that indicate?
• Dwelling policy Coverage C - Personal Property will cover all of the following EXCEPT:
• Which of the following is a primary reason for purchasing business insurance?
• How much can a homeowner collect if a $100,000 house has $40,000 of damage but is only insured for $60,000 under an 80% coinsurance requirement?
• In homeowners insurance, what does liability coverage typically protect against?
• Under a dwelling policy, which of the following is covered for fire damage?
• Under the dwelling policy, Coverage C - Personal Property is?
• When does acceptance of an insurance contract typically occur?
• What are the gross sales and square footage requirements for retail stores in a BOP?
• What is the maximum payment for losses caused by theft in a vacant building after 90 days?
• Which type of coverage provides a specified sum for loss of property that has been declared a total loss?
• A Commercial Property Special Form covers property in transit up to what amount?
• What type of loss generally occurs when the value of property decreases due to deterioration over time?
• Duties of the insurer found in property policy conditions include all of the following EXCEPT?
• What is the primary purpose of the insuring clause in a property insurance policy?
• In dwelling policies, how is automatic increase in insurance achieved?
• What is a common reason for property insurance denial of claims?
• What is the limit payable on business property located away from the premises under Coverage C of a farm policy?
• What documentation grants express authority to an insurance agent?
• All of the following are true regarding rebates EXCEPT?
• What does a comprehensive auto insurance policy typically cover?
• If there is a complaint regarding an insurer and the matter can be cleared by looking at a record of a particular transaction, which of the following authorities would most likely conduct the investigation?
• What is the process of determining the premium charged and how much insurance is required called?
• In a Basic HO Form, how are the perils defined compared to a Broad HO Form?
• What does the term "subrogation" refer to in insurance?
• What is the waiting period for flood coverage when purchased through the NFIP?
• Coverage F (medical payments) under a homeowners policy would cover which of the following?
• Which of the following best describes the purpose of a surety bond?
• A builder's risk form is most often written as which of the following?
• In insurance policies written in Idaho, agents must have their licenses confirmed by counter-signature, which can also be delegated to individuals who are at least how old?
• Professional photographers and musicians may insure their equipment with?
• Which coverage form specifically includes farm fences (excluding field and pasture fences)?
• Which valuation method works best for property whose value does not fluctuate much?
• What type of information would be found in a policy's insuring agreement?
• In a dwelling policy, which of the following statements regarding personal liability coverage is accurate?
• A large antenna is damaged by a tree branch hitting an insured farm dwelling during a storm. Coverage A would insure damages for this occurrence up to what amount?
• What is the primary purpose of property insurance?
• What is the typical extent of the examination conducted for alien insurers?
• Which of the following is included in the definition of the HO-5 form?
• If an insured adds a scheduled personal property endorsement to her homeowners policy, which statement is correct?
• How much will a homeowners policy pay to repair a damaged grave marker?
• How long does removal coverage apply for property moved to protect it from a covered peril?
• Which of the following coverages is included in an unendorsed homeowners policy?
• What percentage of Coverage A is provided for personal property under Coverage C in a homeowners policy?
• In a farm policy, which coverage would reimburse for loss of rental income due to damage from an insured peril?
• What is the square footage requirement for convenience stores under a BOP?
• Which of the following can be a consequence of not having property insurance?
• What is the required advance notice for cancellation of an auto policy if the reason is not nonpayment of premium?
• What term describes making false statements to damage the reputation of an insurer?
• The Terrorism Risk Insurance Program Reauthorization Act of 2015 has extended the TRIA to the year?
• Under a businessowners policy Section I, if an insurer wants to nonrenew a policy for nonpayment of premium, how many days before the expiration date must the insurer notify the mortgageholder?
• What type of coverage typically protects a business's income or expenses during a disaster?
• When other insurance is written on the same basis as a commercial property policy, how is the insurer's obligation defined?
• Which type of applicant would NOT be eligible for coverage under a homeowners policy?
• What is the primary purpose of mobile agricultural machinery and equipment coverage?
• Another person alleged that you are responsible for their property damage. What will your homeowners insurer do?
• Which statement about licensing is true?
• Who are persons covered under an insurance policy referred to as?
• What is the minimum age requirement for an adjuster license in Idaho?
• Which of the following perils is NOT covered under the broad form dwelling policy?
• If an insured's roof depreciates at $200 per year and costs $4,000 to install, how much will an actual cash value policy pay to replace the roof after 5 years?
• What is the maximum distance from a building that personal business property is covered under a commercial property policy?
• Which of the following is eligible for a businessowners policy?
• The difference in the contents coverage on an HO-3 and HO-5 is which of the following?
• Would a Building insured with Commercial Property Insurance that has been vacant for 90 days experience a payment reduction for named perils?
• What type of property insurance provides $100,000 coverage for a building and $50,000 coverage for personal property at a single location called?
• A property insurance policy that is not subject to any coinsurance requirements but has a set amount of insurance scheduled for the property would use what loss valuation method?
• If an insured purchased a $200,000 extra expense policy and incurs costs for a 47-day loss, what is the maximum payable amount if the percentages are 40%, 80%, and 100%?
• What is the name of a policy that provides a specific amount of replacement cost for a risk after insured property is destroyed?
• What term describes other insurance that is written on the same risk but not on the same coverage basis?
• What type of risk does the concept of "coinsurance" in property insurance primarily relate to?
• Under the HO-4 and HO-6 homeowners policy forms, property is insured against which type of perils?
• Which of the following insurance options represents a risk-sharing arrangement?
• Which of the following items is generally excluded from coverage under personal property in a homeowners policy?
• In a commercial property policy, what happens if a building has been vacant for 90 days?
• If smoke damage results from a fire left unattended, how much would a Standard Fire policy pay?
• Which of the following claims would be included under the dwelling policy?
• Which incident would be covered under a home daycare endorsement in a homeowners policy?
• What is 'actual cash value' in property insurance?
• Why is the New York Standard Fire Policy classified as "Standard"?
• Farm policy Coverage B - Structures covers loss of an outside antenna, tower, or satellite dish up to:
• Which of the following is true of dwelling policy coverage?
• Which coverage form would provide coverage for all incoming and outgoing shipments?
• All of the following statements about coinsurance are true EXCEPT:
• What term best describes an insurance company's plan to raise premium costs despite assuring policyholders otherwise?
• What type of policy would cover a variety of risks under a single amount for total property coverage?
• Which loss would be fully covered by a homeowners policy?
• What effect does the Terrorism Risk Insurance Act of 2002 have on the war and military action exclusion with regard to property and casualty insurance?
• Which inland marine form would provide the best protection for a dry cleaning company against loss or damage to their customer's property while in the care, custody, and control of the dry cleaners?